The bill amends the existing law governing the state building authority, specifically focusing on the issuance of revenue obligations such as revenue bonds and notes. These obligations will be paid solely from true rental income and other specified resources, and it is clarified that they are not general obligations of the state, requiring a statement to that effect. Key changes include a limit on the total outstanding obligations of the authority set at $2.7 billion, excluding certain costs related to interest payments and reserves. The bill also introduces provisions for the assignment of true rental payments to paying agents or trustees and allows for the appointment of a receiver to manage facilities in the event of default. Additionally, obligations issued under this act are fully negotiable and exempt from state taxation.

Further amendments address the treatment of advance refunding obligations, stipulating that obligations issued to retire prior obligations within 90 days will count against the limitation when the refunded obligation is retired. The authority is permitted to apply and pledge unpledged revenues and funds for various obligations, while a separate fund is established for these purposes. The bill also allows the authority to manage payment, revenue, or interest rate exposure through agreements that do not count against the limitation on outstanding obligations and permits the establishment of a pool of obligations for interim financing needs. Notably, bonds and notes issued under this act are exempt from the revised municipal finance act but are subject to the agency financing reporting act.

Statutes affected:
Substitute (S-1): 830.418
Senate Introduced Bill: 830.418
As Passed by the Senate: 830.418
As Passed by the House: 830.418